Accounting Hub

Committed fixed costs - relate to the investment in facilities, equipment, and the basic organizational structure of the firm.  Examples i...

Cost driver - any factor whose change causes a change in the total cost of a related cost object; more simply, any factor that causes costs...

This system does not strictly adhere to Generally AcceptedAccounting Principles (GAAP) . For example, work in process exists, but is no...

‘Backflush Costing’ by organization manufacturing in cells, reducing defects and manufacturing lead time, and ensuring timely delivered...

Two major differences between the two systems are: Under conventional costing raw materials go to raw materials inventory, they...

Cost A sacrifice or giving up of resources for a particular purpose, frequently measured by the monetary units that must be paid for goods ...

Managers rely on cost accounting to provide an idea of the actual cost of processes, departments, operations or product which is the found...